Meta: Facebook’s parent company slightly missed estimates, predicts a big drop in revenue

Facebook’s parent company Meta’s second-quarter results came in slightly below market estimates, but it downgraded its revenue estimates for the next quarter.

Specifically, Meta reported earnings of $2.46 per share, while analysts were expecting $2.59, according to Refinitiv data.

At the same time, it saw revenue for the quarter at 28.82 billion euros against an estimate of 28.94 billion, according to the same data.

Meta’s Daily Active Users (DAU) came in at 1.97 billion, slightly above StreetAccount’s estimate of 1.96 billion, while Monthly Active Users (MAU) were 2.93 billion, slightly below the estimate of 2.94 billion

The big blow for Mark Zuckenberg’s tech giant, however, concerned the next quarter’s revenue forecast, which Meta downgraded to between $26 billion and $28.5 billion, while analysts’ estimate was $30.5 billion.

Meta’s stock has lost about half its value since the start of the year, underscoring investor concerns about the path of the tech giant’s online ad core.

A unit that has been hit hard by Apple’s iOS privacy overhaul last year that limited Meta’s ability to target users, as well as the broader global economic slowdown that has led companies to cut ads.